Fitch Rates Citibank Credit Card Issuance Trust's 2006-A7 Notes 'AAA'.NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- Fitch rates Citibank Credit Card Issuance Trust's (CCCIT) $1 billion three Month LIBOR LIBOR See: London Interbank Offered Rate LIBOR See London interbank offered rate (LIBOR). + 0.06% class 2006-A7 notes 'AAA'. This rating addresses the transaction's ability to make timely payment of interest and ultimate payment of principal by the legal maturity date. The notes issued by CCCIT are secured by a collateral certificate issued by Citibank Credit Card Master Trust I (CCIMTI), as well as certain trust accounts held by the indenture An agreement declaring the benefits and obligations of two or more parties, often applicable in the context of Bankruptcy and bond trading. The term indenture primarily describes secured contracts and has several applications in U.S. law. trustee and any applicable derivative agreements. The collateral certificate represents an undivided interest undivided interest n. title to real property held by two or more persons without specifying the interests of each party by percentage or description of a portion of the real estate. in the assets of CCIMTI. CCIMTI consists of receivables generated from Visa and MasterCard credit card accounts originated by Citibank (South Dakota South Dakota (dəkō`tə), state in the N central United States. It is bordered by North Dakota (N), Minnesota and Iowa (E), Nebraska (S), and Wyoming and Montana (W). ). The rating reflects the credit quality of the collateral certificate, which is based on the quality of the receivables that make up CCIMTI, the available credit enhancement Credit Enhancement A method whereby a company attempts to improve its debt or credit worthiness. Notes: Credit enhancements take many different forms. An example of a credit enhancement would be conversion rights added on to a debt instrument in order to lower the issuing , the servicing expertise of Citibank (South Dakota), and the transaction's sound legal and financial structure. Credit enhancement for the class 2006-A7 notes is 12.25%, consisting of the 5.25% required subordinated amount of class B notes and the 7% required subordinated amount of class C notes. Unless an event of default or early redemption event occurs, class 2006-A7 investors will receive interest payments at an annual rate of Three Month LIBOR + 0.06% on the 15th day of each March, June, September and December, beginning December 2006. Class 2006-A7 notes have an expected principal payment date of December 15, 2016 and a legal maturity date of December 17, 2018. The notes are part of the Citiseries subclass In programming, to add custom processing to an existing function or subroutine by hooking into the routine at a predefined point and adding additional lines of code. subclass - derived class of notes in CCCIT, which is a multiple issuance series. As of the issuance date of the class 2006-A7 notes, the total invested amount of notes of the Citiseries will be $63.56 billion, consisting of $54.94 billion in class A notes, $3.14 billion in class B notes, and $4.475 billion in class C notes. CCCIT is a Delaware statutory business trust that has been structured to allow maximum flexibility in issuance, as well as The Employee Retirement Income Security Act The Employee Retirement Income Security Act of 1974 (ERISA), 29 U.S.C.A. § 1001 et seq. (1974), is a federal law that sets minimum standards for most voluntarily established Pension and health plans in private industry to provide protection for individuals enrolled in these plans. of 1974 (ERISA See Employee Retirement Income Security Act. ERISA See Employee Retirement Income Security Act (ERISA). ) eligibility for all classes of notes. The innovative structure utilized by CCCIT allows for the sale of a single issuance series, which is a typical credit card A/B/C structure, as well as a multiple issuance series. In a single issuance series, the class A, class B and class C notes are issued concurrently and have similar maturities, with the subordinate classes of that series supporting the senior classes. A multiple issuance series also consists of class A, class B and class C notes, with subclasses that may be offered independently and have differing terms, issuance dates and maturities. All of the subclasses of subordinated notes in a multiple issuance series support the senior classes of that series. Although notes of a multiple issuance series can be offered on any date, senior notes may only be offered to the extent the required subordinate amount is outstanding at that time, without regard to the expected maturity of the subordinated notes. CCCIT contains standard early redemption events designed to protect investors from deteriorating collateral performance, as well as standard events of default. If an early redemption event or event of default occurs investors will receive principal on an accelerated schedule, with senior notes receiving principal payments first. For a copy of the Citibank Credit Card Issuance Trust report or for historical trust performance on Citibank Credit Card Master Trust I please refer to Fitch Rating's ABS Surveillance available on www.fitchratings.com. Fitch's rating definitions and the terms of use Terms of Use are rules set up by the owner of an intellectual property or service to govern how they may be legally used. In many cases, terms of service are used as a contractual agreement between a company and users of a service they provide. of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental are also available from the 'Code of Conduct' section of this site. |
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